MIDLAND, Mich. — Dow (NYSE: DOW) announced today it has selected Linde (NYSE: LIN) as its industrial gas partner for the supply of clean hydrogen and nitrogen for its proposed net-zero carbon emissions1 integrated ethylene cracker and derivatives site in Fort Saskatchewan, Alberta, Canada.
Final investment decisions for both the Dow and Linde projects are subject to approval by both companies’ respective Board of Directors and various regulatory agencies. Final investment decisions are expected in fourth quarter this year for a potential startup of phase 1 in 2027.
Under the parties’ framework agreement, Linde will complete the design and engineering for a Linde-owned and operated world-scale air separation and autothermal reformer complex. This complex would be integrated with Linde’s existing operations in Fort Saskatchewan.
“Linde’s partnership is critical in enabling Dow to advance its plans to decarbonize our Fort Saskatchewan site while growing our business,” said Edward Stones, Dow’s business vice president, Energy and Climate. “Our customers are looking to Dow to help lower the carbon footprint of their products, and this is an important step in that direction.”
Dow’s net-zero carbon emissions ethylene cracker and derivatives complex would decarbonize approximately 20 percent of its global ethylene capacity while growing its global polyethylene supply by about 15 percent and supporting approximately $1 billion of EBITDA (earnings before interest, taxes, depreciation and amortization) growth across the value chain by 2030.
The proposed production process at Fort Saskatchewan will convert cracker off-gas into hydrogen as a clean fuel to be used in the ethylene production process and carbon dioxide will be captured onsite to be transported and stored by adjacent third-party carbon storage infrastructure partners.
“The Dow net-zero Fort Saskatchewan project will be a milestone project in global industrial decarbonization,” said Dan Yankowski, senior vice president Americas, Linde. “Linde’s engineering, large project execution and operations expertise, combined with our long-standing relationship, uniquely positions us to support Dow as it takes an important step towards achieving its decarbonization goals.”
About Dow
Dow (NYSE: DOW) combines global breadth; asset integration and scale; focused innovation and materials science expertise; leading business positions; and environmental, social and governance leadership to achieve profitable growth and help deliver a sustainable future. The Company’s ambition is to become the most innovative, customer centric, inclusive and sustainable materials science company in the world. Dow’s portfolio of plastics, industrial intermediates, coatings and silicones businesses delivers a broad range of differentiated, science-based products and solutions for its customers in high-growth market segments, such as packaging, infrastructure, mobility and consumer applications. Dow operates manufacturing sites in 31 countries and employs approximately 37,800 people. Dow delivered sales of approximately $57 billion in 2022. References to Dow or the Company mean Dow Inc. and its subsidiaries. For more information, please visit www.dow.com or follow @DowNewsroom on Twitter.
About Linde
Linde is a leading global industrial gases and engineering company with 2022 sales of $33 billion. We live our mission of making our world more productive every day by providing high-quality solutions, technologies and services which are making our customers more successful and helping to sustain, decarbonize and protect our planet.
The company serves a variety of end markets such as chemicals & energy, food & beverage, electronics, healthcare, manufacturing, metals and mining. Linde’s industrial gases and technologies are used in countless applications including production of clean hydrogen and carbon capture systems critical to the energy transition, life-saving medical oxygen and high-purity & specialty gases for electronics. Linde also delivers state-of-the-art gas processing solutions to support customer expansion, efficiency improvements and emissions reductions. www.linde.com.
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SOURCE: The Dow Chemical Company
